Yahoo! to save $375 million, sheds workforce by 2,000 employees

Times are hard – the world’s economy does not look all too rosy at the moment (and has been for quite some time already), with rumors of wars and the seemingly perpetual instability in the Middle East hitting news headlines just about every single day. Companies will need to be run in a prudent manner, and Internet giant Yahoo! has announced that they will be laying off 2,000 employees in their latest cost cutting exercise, which will eventually end up saving the company a cool $375 million each year.

According to Yahoo! CEO Scott Thompson, “Today’s actions are an important next step toward a bold, new Yahoo — smaller, nimbler, more profitable and better equipped to innovate as fast as our customers and our industry require. Our goal is to get back to our core purpose — putting our users and advertisers first — and we are moving aggressively to achieve that goal.” Yahoo! has decided not to comment on severance details, and there are skeptics among the group of analysts who claim that one cannot simply cut one’s way through to revenue growth, but rather, will need to plan and make provisions to improve.